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Adelman, Morris Albert

Adelman, Morris Albert

This article has been reviewed by the following Topic Editor: Tom Lawrence

Morris Albert Adelman (1917-), an American energy economist noted for his founding work in the development of the economics of oil supply and the world oil market. Central to his work is the notion that oil is a commodity like any other; he did not assign a special status to oil as a depleting resource or as an increasing-cost good. He views the oil industry's supply problem as an issue of inventory renewal. The rule of thumb is that the industry should hold about 15 years' supply in the ground as proven reserves. As we deplete a mineral base, its market price is typically expected to rise, creating an incentive to replenish the inventory via exploration and development. Adelman’s rule is a practical tool for valuing oil reserves based on current prices and extraction costs. However, Adelman engaged in a long-running public debates with analysts holding more pessimistic views of oil supply markets.

Citation

Cutler J. Cleveland (Lead Author);Tom Lawrence (Topic Editor) "Adelman, Morris Albert". In: Encyclopedia of Earth. Eds. Cutler J. Cleveland (Washington, D.C.: Environmental Information Coalition, National Council for Science and the Environment). [First published in the Encyclopedia of Earth August 18, 2006; Last revised Date August 18, 2006; Retrieved May 19, 2013 <http://www.eoearth.org/article/Adelman,_Morris_Albert>

The Author

Cutler J. Cleveland Cutler J. Cleveland  is Professor of Earth and Environment at Boston University, where he also is on the faculty of the Center for Energy and Environmental Studies. Professor Cleveland is Editor-in-Chief of the Encyclopedia of Energy (Elsevier, 2004), winner of an American Library Association award, the Dictionary of Energy (Elsevier, 2005), Handbook of Energy (Elsevier, forthcoming), and is the Founding Editor-in-Chief of the Encyclopedia of Earth.  He is the recipient of the Adelma ... (Full Bio)

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